North Central Area Agency on Aging

EIN: 223059029

UEI: VLXJM5QK7SQ5

Data as of August 26, 2026

North Central Area Agency on Aging9 audit years16 findings9 repeat
9
Audit Years
16
Total Findings
9
Repeat Findings

FY 2024-09-30

Management decision deadline — for entities that funded this organization

The FAC accepted this audit on October 1, 2025. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by April 1, 2026 (147 days ago).

What is a management decision? →
2024-001
Reporting
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes 2023-001 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Federal Agency: Department of Health and Human Services Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Financial Reporting Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes 2023-001 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

NCAAA has hired a full-time Finance Director coupled with a Consultant who is an expert in the Accounting system being utilized to ensure the system is being for its full intent. Inclusive of financial activities. As previously mentioned, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2023-001

About Reporting →
2024-002
Reporting
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes, 2023-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045 Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes, 2023-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

As previously stated, NCAAA has hired another Finance Director coupled with a Consultant an expert in the Accounting system being utilized to ensure full use. In addition, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2023-002

About Reporting →
2024-003
Subrecipient Monitoring
MATERIAL WEAKNESSREPEAT

A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2023-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or Specific Requirement: Per Uniform Guidance, when an Organization is making a subaward, they are required to provide the recipient with all identifying award information, including the Assistance Listing number, award name, whether the award is research and development; and name of Federal awarding agency. If a subaward is funded by both state and federal funds, the Organization is required to provide the recipient with sufficient information to determine the breakout of the state and federal funds. Condition: A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2023-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Management will amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award.

Prior Finding References

2023-003

About Subrecipient Monitoring →
2024-004
Reporting
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes , 2023-004 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Show full finding ▾
Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes , 2023-004 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

NCAAA has hired a full-time Finance Director coupled with a Consultant who is an expert in the Accounting system being utilized to ensure the system is being for its full intent. Inclusive of financial activities. As previously mentioned, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2023-004

About Reporting →

FY 2023-09-30

FAC accepted this audit on September 15, 2025 — management decision was due March 15, 2026.

2023-001
Reporting
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Federal Agency: Department of Health and Human Services Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Financial Reporting Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

NCAAA has hired a full-time Finance Director coupled with a Consultant who is an expert in the Accounting system being utilized to ensure the system is being for its full intent. Inclusive of financial activities. As previously mentioned, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2022-001

About Reporting →
2023-002
Reporting
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes, 2022-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Show full finding ▾
Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes, 2022-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

As previously stated, NCAAA has hired another Finance Director coupled with a Consultant an expert in the Accounting system being utilized to ensure full use. In addition, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2022-002

About Reporting →
2023-003
Subrecipient Monitoring
MATERIAL WEAKNESSREPEAT

A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2022-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

Show full finding ▾
Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or Specific Requirement: Per Uniform Guidance, when an Organization is making a subaward, they are required to provide the recipient with all identifying award information, including the Assistance Listing number, award name, whether the award is research and development; and name of Federal awarding agency. If a subaward is funded by both state and federal funds, the Organization is required to provide the recipient with sufficient information to determine the breakout of the state and federal funds. Condition: A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2022-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Management will amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award.

Prior Finding References

2022-003

About Subrecipient Monitoring →
2023-004
Reporting
MATERIAL WEAKNESS

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes , 2022-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Show full finding ▾
Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes , 2022-002 Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

NCAAA has hired a full-time Finance Director coupled with a Consultant who is an expert in the Accounting system being utilized to ensure the system is being for its full intent. Inclusive of financial activities. As previously mentioned, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

About Reporting →

FY 2022-09-30

FAC accepted this audit on December 2, 2024 — management decision was due June 2, 2025.

2022-001
Other
MATERIAL WEAKNESSREPEAT

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster and National Family Caregiver Support - Title III, Part E Assistance Listing Number: 93.044, 93.045, 93.053 and 93.052 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Financial Reporting Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: Yes Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

NCAAA has hired a full-time Finance Director coupled with a Consultant who is an expert in the Accounting system being utilized to ensure the system is being for its full intent. Inclusive of financial activities. As previously mentioned, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

Prior Finding References

2021-001

About Other →
2022-002
Reporting
MATERIAL WEAKNESS

Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: No Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster and National Family Caregiver Support - Title III, Part E Assistance Listing Number: 93.044, 93.045, 93.053 and 93.052 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Condition: Due to the organization not fully utilizing the capacity of their accounting system, the audit was significantly delayed. In addition, there was turnover within the accounting department which resulted in additional time to gain comfort over beginning balances and reconcile the activity for the year under audit. Questioned costs: None Criteria or Specific Requirement: Internal controls over financial reporting are required to be designed to provide reasonable assurance that financial statement misstatements are prevented or detected and corrected. Our audit procedures revealed a continued need for improvement of a timely and complete monthly or periodic reconciliation and closing process. Lack of a complete monthly or periodic close led to a continuing and growing backlog of transactions and journal entries that were not posted into the accounting system, which rendered the accounting information inadequate and unable to complete the Federal Single Audit timely and accurate quarterly reporting. Effect: Material adjustments were required to be made by management prior to providing a trial balance for audit. Because financial information was not being tracked within the accounting system, it took management a significant amount of time to reconcile and record activity and therefore, the audit was delayed. Cause: The prior Director of Finance had been with the organization for a long period of time and did not utilize the accounting system as intended. Many reconciliations were performed manually, and the current finance team was unable to reproduce the work of the previous Director of Finance. Repeat Finding: No Recommendation: We recommend that the Organization fully utilize the accounting system as intended to track daily financial activity. We also recommend that they formalize monthly account reconciliations and year-end closing procedures to ensure that all transactions are properly recorded in the appropriate account and the correct period.

Corrective Action Plan

As previously stated, NCAAA has hired another Finance Director coupled with a Consultant an expert in the Accounting system being utilized to ensure full use. In addition, procedures will be implemented to formalized monthly account reconciliations and year end closed to ensure transactions are properly recorded in the appreciate account and correct period.

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2022-003
Subrecipient Monitoring
MATERIAL WEAKNESSREPEAT

A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2021-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster and National Family Caregiver Support - Title III, Part E Assistance Listing Number: 93.044, 93.045, 93.053 and 93.052 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or Specific Requirement: Per Uniform Guidance, when an Organization is making a subaward, they are required to provide the recipient with all identifying award information, including the Assistance Listing number, award name, whether the award is research and development; and name of Federal awarding agency. If a subaward is funded by both state and federal funds, the Organization is required to provide the recipient with sufficient information to determine the breakout of the state and federal funds. Condition: A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: Yes 2021-003 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Management will amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award.

Prior Finding References

2021-003

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2022-004
Cost Allowability
MATERIAL WEAKNESS

The Organization has an approved Cost Allocation Plan, however nonpayroll expenses were not allocated following the approved plan. Questioned costs: None Context: Of the 25 non payroll disbursements chosen for testing, five of the transactions were allocated in a method that differed from the cost allocation plan or the allocation method used could not be reperformed. Cause: Management was not aware of the allocation compliance. Effect: The effect is that expenses charged to the federal awards potentially could be in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend that the Cost Allocation Plan be modified by management to the appropriate cost allocations for the Organization and obtain approval for the updated plan by the governing board. Views of Responsible Officials: There is no disagreement with the audit finding.

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Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or Specific Requirement: The Organization follows the Connecticut Cost Allocation Standards and is required to maintain a cost allocation plan that is approved by the governing board. The actual costs must be charged in accordance with this plan. Condition: The Organization has an approved Cost Allocation Plan, however nonpayroll expenses were not allocated following the approved plan. Questioned costs: None Context: Of the 25 non payroll disbursements chosen for testing, five of the transactions were allocated in a method that differed from the cost allocation plan or the allocation method used could not be reperformed. Cause: Management was not aware of the allocation compliance. Effect: The effect is that expenses charged to the federal awards potentially could be in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend that the Cost Allocation Plan be modified by management to the appropriate cost allocations for the Organization and obtain approval for the updated plan by the governing board. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Management presents the NCAAA Board with an Allocation Plan prior to the beginning of a fiscal year for review and acceptance to be implemented in the upcoming fiscal year. This will be an annual review and approval procedures.

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2022-005
Activities Allowed or Unallowed
MATERIAL WEAKNESSQUESTIONED COSTS

The Organization has not maintained documentation for certain expenditures that have been charged again the major programs. Questioned costs: $8,771 Context: Of the 25 non payroll disbursements chosen for testing, 12 of the transactions were not supported with documentation of the expense. Cause: Due to the time lapse of the audit and new management, the supporting documentation was not able to be located. Effect: The effect is that expenses charged to the federal awards potentially could be in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend a filing system either electronic or in paper be established by management. Views of Responsible Officials: There is no disagreement with the audit finding.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or Specific Requirement: The Organization prescribed controls is to maintain documentation to support the expenditures that occurred for the programs. Condition: The Organization has not maintained documentation for certain expenditures that have been charged again the major programs. Questioned costs: $8,771 Context: Of the 25 non payroll disbursements chosen for testing, 12 of the transactions were not supported with documentation of the expense. Cause: Due to the time lapse of the audit and new management, the supporting documentation was not able to be located. Effect: The effect is that expenses charged to the federal awards potentially could be in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend a filing system either electronic or in paper be established by management. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

The filing system will be tightened to ensure immediate availability of documentation both electronically and paper trail.

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2022-006
Activities Allowed or Unallowed
MATERIAL WEAKNESS

The Organization and payroll provider miscalculated overtime wages. Questioned costs: Not material Context: Of the five employees chosen for testing, one employee’s overtime earnings were not properly calculated for 8 payroll periods during the year, which resulted in the employee being overpaid during the current year. Cause: Transition of payroll providers during the current year with specific pay rates prescribed by grant agreements and application of those prescribed payrates to various programs. Effect: The effect is that expenses charged to the federal awards in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend proper review control procedures to be established by management. Views of Responsible Officials: There is no disagreement with the audit finding.

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Full finding narrative

Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Award Period: 10/1/2022 9/30/2025 Type of Finding: • Material Weakness in Internal Control over Compliance • Material Noncompliance (Modified Opinion) Criteria or Specific Requirement: The Organization prescribed controls is to review payroll records and ensure the payroll system is operating effectively in accordance with the Organization’s policies and procedures as well as their prescribed rates. Condition: The Organization and payroll provider miscalculated overtime wages. Questioned costs: Not material Context: Of the five employees chosen for testing, one employee’s overtime earnings were not properly calculated for 8 payroll periods during the year, which resulted in the employee being overpaid during the current year. Cause: Transition of payroll providers during the current year with specific pay rates prescribed by grant agreements and application of those prescribed payrates to various programs. Effect: The effect is that expenses charged to the federal awards in excess of actual allocated expense incurred. Repeat Finding: No Recommendation: We recommend proper review control procedures to be established by management. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Keeping in mind the timing of the conclusion of the audit this no longer is problematic. A Payroll consultant has since been under contract to serve as a Liaison with the payroll servicer to remediate errors in calculations of overtime.

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FY 2021-09-30

FAC accepted this audit on May 14, 2023 — management decision was due November 14, 2023.

2021-002
Activities Allowed or Unallowed
MATERIAL WEAKNESS

Several instances of non-compliance were identified in relation to supporting documentation for salary rates being maintained within employee personnel files. In addition to this, the policies and procedures of the Organization do not require all employees to prepare daily timesheets,therefore some charges to federal awards are not adequately supported. Questioned costs: None Context: Of the six employees chosen for testing, payrate support was unable to be provided for three employees. In addition, of the six employees tested, the charges to federal awards for three employees was not adequately supported. Cause: Management was not aware of the detailed requirements surrounding payroll compliance. Effect: The effect is that salary expense charged to the federal awards is in excess of actual expense incurred. Repeat Finding: No Recommendation: We recommend that all employee personnel files be reviewed to ensure that documentation supporting salary rates is properly included within each file. In addition to this, if employees are being allocated to multiple programs throughout the year, personnel activity reports, or something comparable, must be prepared at minimum, on a monthly basis and be signed off on by the employee to support the allocations being recognized. Lastly, we recommend that a review process be implemented for payroll entries recorded within the general ledger throughout the year. Views of responsible officials: There is no disagreement with the audit finding.

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2021 ? 002 Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Pass-Through Number(s): Various Award Period: 10/1/2021 ? 9/30/2025 Type of Finding: ? Material Weakness in Internal Control over Compliance Criteria or specific requirement: Per Uniform Guidance, an Organization is required to ensure that adequate documentation be maintained within employee personnel files to support the rate being compensated to employees. In addition to this, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Condition: Several instances of non-compliance were identified in relation to supporting documentation for salary rates being maintained within employee personnel files. In addition to this, the policies and procedures of the Organization do not require all employees to prepare daily timesheets,therefore some charges to federal awards are not adequately supported. Questioned costs: None Context: Of the six employees chosen for testing, payrate support was unable to be provided for three employees. In addition, of the six employees tested, the charges to federal awards for three employees was not adequately supported. Cause: Management was not aware of the detailed requirements surrounding payroll compliance. Effect: The effect is that salary expense charged to the federal awards is in excess of actual expense incurred. Repeat Finding: No Recommendation: We recommend that all employee personnel files be reviewed to ensure that documentation supporting salary rates is properly included within each file. In addition to this, if employees are being allocated to multiple programs throughout the year, personnel activity reports, or something comparable, must be prepared at minimum, on a monthly basis and be signed off on by the employee to support the allocations being recognized. Lastly, we recommend that a review process be implemented for payroll entries recorded within the general ledger throughout the year. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Department of Health and Human Services 2021-002 Aging Cluster ? Assistance Listing No. 93.044, 93.045, 93.053 Recommendation: We recommend that all employee personnel files be reviewed to ensure that documentation supporting salary rates is properly included within each file. In addition to this, if employees are being allocated to multiple programs throughout the year, personnel activity reports, or something comparable, must be prepared at minimum, on a monthly basis and be signed off on by the employee to support the allocations being recognized. Lastly, we recommend that a review process be implemented for payroll entries recorded within the general ledger throughout the year. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Upon a salary upgrade and/or multi-program allocation NCAAA will ensure supporting documentation is maintained in employees personnel file available for review. Name of the contact person responsible for corrective action: Maureen McIntyre, Executive Director. Planned completion date for corrective action plan: Ongoing until compliant.

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2021-003
Subrecipient Monitoring
MATERIAL WEAKNESS

A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: No Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of responsible officials: There is no disagreement with the audit finding.

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2021 ? 003 Federal Agency: Department of Health and Human Services Federal Program Name: Aging Cluster Assistance Listing Number: 93.044, 93.045, 93.053 Pass-Through Agency: State of Connecticut Department of Aging and Disability Services Pass-Through Number(s): Various Award Period: 10/1/2021 ? 9/30/2025 Type of Finding: ? Material Weakness in Internal Control over Compliance Criteria or specific requirement: Per Uniform Guidance, when an Organization is making a subaward, they are required to provide the recipient with all identifying award information, including the Assistance Listing number, award name, whether the award is research and development; and name of Federal awarding agency. If a subaward is funded by both state and federal funds, the Organization is required to provide the recipient with sufficient information to determine the breakout of the state and federal funds. Condition: A sample of five subrecipient agreements were selected for testing. Upon review, the agreements did not fully disclose the assistance listing number, award name, whether the award is research and development, name of Federal awarding agency and the allocation of the award between state and federal funding, if applicable. Questioned costs: None Context: The Organization passes through approximately 80% of all governmental grants received to subrecipients. Cause: Management was not aware of the detailed requirements surrounding subrecipient monitoring. Effect: The effect is that subrecipients may not be in compliance with federal or state single audit requirements due to their agreements not containing accurate award information. Repeat Finding: No Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Department of Health and Human Services 2021-003 Aging Cluster ? Assistance Listing No. 93.044, 93.045, 93.053 Recommendation: We recommend that management amend each subaward agreement to include all required identifying award information, including the allocation of state and federal funds to the award. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Going forward, NCAAA will ensure each subaward agreement will include the required identifying award information, including state and federal funds. Name of the contact person responsible for corrective action: Maureen McIntyre, Executive Director Planned completion date for corrective action plan: Ongoing until compliant. If the Agency has questions regarding this plan, please call Maureen McIntyre at (860)724-6443 ext. 283

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